Gold Gets The Lead Out
After languishing near 20-year lows for the past few months, December gold [GCZ9>GCZ9] made its biggest up move this year. Observers cited a stronger-than-expected gold bullion auction sparking the rally which continued in New York. Gold, which has been on the Multiple Days Low Volatility List for several days suggesting a big move was imminent, rose 6.0 to close at 261.8. Silver [SIZ9>SIZ9] was also on the list and it jumped 16 to close at 528.2.
A weaker dollar pressured T-bonds [USZ9>USZ9]: The December contract fell 06/32 to 113 17/32.
A weaker dollar and a widening trade deficit hurt stocks index futures. December Dow futures [DJZ9>DJZ9] fell 228 to 10,690, S&P futures [SPZ9>SPZ9] fell 26.50 to 1322.30 and NASDAQ 100 futures [NDZ9>NDZ9] finished 58.25 lower at 2511.75.
December dollar index futures [DXZ9>DXZ9] fell .90 to 99.29, assaulted on two fronts today by both the yen and European currencies. The yen [JYZ9>JYZ9] got going on news the Bank of Japan failed to alter monetary policy to enhance liquidity, then got a boost when the Commerce Department reported a stronger-than-expected trade deficit. The yen finished .0135 higher at .9655. Swiss francs [SFZ9>SFZ9] gained .0080 to .6607 and British pounds [BPZ9>BPZ9] gained .0102 to 1.6316.
One day ahead of an OPEC meeting, October crude [CLV9>CLV9], from the Momentum-5 List moved up .09 to 23.94 while the other energy contracts fell back. Natural gas [NGV9>NGV9] hit a seven-week low, falling .081 to 2.669.
The grains were mostly lower. December wheat [WZ9>WZ9] and corn [CZ9>CZ9] are on the Implosion-5 List.
In the meats, February pork bellies [PBG0>PBG0] rallied their daily limit to close at 56.775.
March 2000 sugar [SBH0>SBH0] fell .18 to 7.08 and coffee [KCZ9>KCZ9] fell to a new contract low, closing down .70 at 82.65.